Foreign direct investment in economic sectors after the war in Kosovo

• Author: Bahtijar Berisha - Ramadan Kryeziu - Sakip Imeri - Mustafe Hasani
• Position: University of Osijek
• Pages: 139-144

Vol. 3 No. 3

November 2017

ISSN 2410-3918

Acces online at www.iipccl.org

139

Academic Journal of Business, Administration, Law and Social Sciences

IIPCCL Publishing, Graz-Austria

Foreign direct investment in economic sectors a er the war in Kosovo

Baht ar Berisha

University of Os ek

Ramadan Kryeziu

University of Os ek

Sakip Imeri

University of Os ek

Mustafe Hasani

University of Os ek

Abstract

Direct foreign investment as a concept is a relatively new phenomen of business thinking,

which has had rapid growth in recent years. Economic globalization increasingly requires

the integration of countries, regardless of their level of economic development in the global

market to participate in the distribution of world GDP. At the time of major technological

changes, global competition and market liberalization, FDI can play a key role in the process

of global economic integration.

They create e ects in host countries as well as in investment economies. Increasing foreign

direct investment is a key goal for the economic development of each country, especially those

developing and transition countries that are mostly more foreign capital users. The Republic

of Kosovo a er the war as a new country, its economic development based mainly on the

infl ow of foreign capital.

The paper deals with the elaboration and clarifi cation of direct foreign investment, the motive

of foreign investment, with regard to foreign investment in Kosovo's economic sectors for

the past ten years, which represent the main form of the infl ow of international capital in the

country.

Keywords: International Capital Standards (ICS), Foreign Direct Investment (FDI), Institutional

Development, Global Economic Integration.

Introduction

Foreign direct investment is a relatively new phenomenon, evident in the XIX century

in the form of loans made by economically developed countries to fi nance economic

development in di erent countries, especially in developing countries and countries

in transition. In the period between the fi rst and second war in the twentieth century,

foreign investments had a signifi cant decline. The end of World War II marked the

fl ourishing of the FDI phenomenon.

Foreign direct investment is one of the basic models of world capital movements and,

apart from trade, one of the driving engines of the globalization of the world economy

in the second half of the twentieth century, with a clear tendency for this trend to